What's up Chris. Hey Mo I'm super glad you can take this call. I was hoping.
That you could cut up one of those banger videos that you make that I see on your website. I'd love to do that for you. What's your budget?
I have a thousand dollars. A thousand bucks. Is this video important to you?
I think it will be. If you do it. No problem doesn't solve for a thousand dollars.
We're trying to build awareness. No one's walking into the to the store. Okay so how much awareness do you want it to build.
You know I'd like to have at least. Two to three people walk into the store. An increase of two to three people.
A day a day sorry a day. And so what kind of business would that generate for you. Our average product sells for about 100 bucks.
So you're looking at about 200 to 300 dollars worth of increased revenue. Okay. So let's say 250.
Split the difference. That sounds good to me. Time's 30 days.
Right. Three days a month on average. What does that work out to be?
That's. Seventy five hundred dollars of new revenue for you. A month.
Mm hmm. Does spending a thousand dollars seem appropriate for seventy five hundred dollars of revenue per month? It's more than 10 percent right.
A month. Are you gonna do a thousand dollar value every month? Maybe if you do this one good.
I'm a little concerned. This is not enough money. And I'd like to share with you a quote I love from a business philosopher.
Jim. Rome. So it feels a little disproportionate.
Doesn't it. When you say that quote I think it does? You can't just roll right into.
You can't. I mean you do business. You don't want to.
You don't want to overspend and there's are you going to guarantee me seventy five hundred dollars a month. I'm not saying that at all. I'm just trying to measure effort versus result.
Ok. When somebody comes to me and they say I don't have a lot of money to do something? My first instinct is hey let's not do it.
It's not important. Would that be your instinct too? Yeah.
Where else can you spend your thousand dollars to make a bigger impact on your business? Because I don't wanna take your money to do something that's not important. Is it important or isn't it?
I mean I think it's important. Not a thousand other important. Don't break Mo Can you elaborate on what you mean by not a thousand dollar important?
If you look at the expenses and things that you spend on personal and business. Where does that thousand dollars rank in the things that you spend? Is it on the high end or is it on the low end?
Like how much did that refrigeration unit cost and. How much of the AC? And when you went into new to do the Polish floors What did you spend on that.
And how did that have any material impact on your business? You see what I'm saying now I do and I saw the BMW parked outside. The five series the M5 and I think you see what I'm saying that was really important to you.
So I find that in my my life and my experience that people tend to spend money on what they value. That mean that makes perfect sense. Don't you think like.
If you like a fancy pair of pants you'll spend the money for that and if you don't you buy the. Cheaper version. So when somebody comes to me as I have a real business problem Chris and I want to spend a thousand big smacker Rooney's on it I think I don't think that's a real problem.
And. Let me just caution you on this. I know what happens a lot of times businesses like yours the other businesses produce video and then we have video envy.
And then we created just a great ad to say like yeah we're keeping up with the Joneses. I don't know. That's good use of your money.
Now in order for me to do this properly. I'd probably have to spend quite a bit of time sitting down talking to you about what the purpose of the video is what your goals are and how it may or may not work and if it's going to even be targeted to the right people. That's going to take a long conversation.
But it would seem disproportionate. The length of that conversation for your time and my time to talk about a thousand dollar problem. What would you like to do?
I don't want to spend more than that. Then you shouldn't but I'm not the person to do that for you. And I would encourage you not to spend that money.
With anybody not just me. Would you like to do? Probably find somebody that can do the video for a thousand dollars.
That is your prerogative. Would you? Can you recommend anybody?
Yeah I hear this a site called fiver they could do it for five bucks. Thanks Chris. You're welcome.
Best of luck Mel. So I think that's a very advanced conversation when you taught me how to talk about money. Yes.
That was such a big thing but it's just like for a lot of people starting out. It's you're so hungry to get that a thousand dollars job when you're doing videos for 200 bucks and 500 bucks finding somebody comes and I think that's where like going back to he says this is where we kind of get the short end of the stick that we didn't have this type of conversation and then we end up taking that job for a thousand dollars. And now we're spending hours doing revisions and really talking to not get into where we really are.
Ok. So are you saying to me how do we go that I cannot accept? No I have to take it.
Well I'm not saying you don't. I'm just trying to talk. I mean I'll play it like that too.
I'm just trying to tell people on the Internet it's have an understanding because I think it's great. Like you know somebody called me today and they're like I found somebody that there's videos for 80 bucks. You hire him.
That video is good. Let me know. Because all right I'll give him plenty of work for me to do it.
It's a minimum 1000 miles for video He's going to be six grand. I'm like yeah or spend you're eighty dollars and you can get whatever you want for that but I can't help you with that. All right.
I just know for other people you know for them to turn away a thousand dollars. It's such it's a lot of money for some of them but it's like. But it's things we learned from the pro group as you got to have a runway to be able to tell people No.
But also being able to ask these educated questions. Perfect. I will respond to that and then Mo Ok.
I think that you didn't have that thousand dollars before they called you. You were gonna make life work regardless. Don't fall into that mindset like now just because the call I have to close the job that puts you in a horrible disadvantageous position don't feel like you have to do that.
I have another way. If you had set the parameters as Chris you can't say no to the client you can't refer them to fiver or you must book the job. I've got another way to do it.
Show them that Should we jump back in? Yeah. Ok.
He didn't give me that parameters. I mean I did oh let's do it. So we're not going to do it from the beginning.
Ok. It's just you want to spend a thousand bucks right. That's it.
Ok. What do we have where we add in the conversation kind of out there like I didn't want to do but you're like that's all I got? Ok.
I really really don't want to spend more than a thousand dollars. I understand. A thousand dollars is a lot for you.
I hear your concern. I'd like to propose something else. Please.
I'll do the video for you for free. If we get the results that you want. I'd like a percentage of the results.
Can we do that? No risk to you at all. Sounds fantastic.
What's the percentage that you're thinking. Well. We're talking about measuring the difference between traffic and revenue that you get.
Lots of things I can't control. So all they want to do is get paid per new customer walks in your door. How about since you say each customer is going to spend a hundred dollars with you?
Let's go half 50 bucks. No risk to you. I take all the risk.
And I rely on your honesty. What's. The hesitation.
I'm concerned that you're going to make. A banger video. All I do is make banger videos.
I know I see them on the portfolio bro facts big facts of facts. That's why I called you to begin with. Yeah.
And then. We're gonna get a lot of clients in the door. And then I'm gonna be out 50 percent of that revenue.
What if it exceeds a thousand? It's going to exceed a thousand. That's the whole point.
I take all the risk. You know Peter Drcker is. I've heard of him All.
Profit comes from risk. Mm hmm. I'm taking on the risk.
Or you just pay me what I'm worth. And you keep all the profit. What are you worth?
4000. That's the minimum. You need time to think.
Now I was going to break. I was going to break and actually I said yes you want to jump in what am I what am I getting for 4000? I'd like to know what a banger video consists of.
Shall we be time later but are we realistically now entertaining our 4000 dollar budget. I'd like to put a non exceed clause on the percentage that you get. So we're going back to the.
No no no. We're not going back. I appreciate the fact that you're taking on all the risk but I'm also wanted to be wary that if if you get me a lot of clients that you're not banking ten thousand dollars for one video because it might not even cost you that much.
Now I ask you something. If I can bring in a long line of clients for you. You're saying please don't do that.
No not at all. I'm saying Bring me the long line of clients. I mean but that's what you're saying to me like please help me do this.
But if it works so well I don't want to pay you anymore. You just said your minimum level of engagement is 4000 Right. Let's say that exceeds 4000.
Are you getting paid more than what you need? I see what you're saying. Yeah.
There must be some confusion here. I can say that the two options that we have on the table right now is you pay me four thousand dollars. We're done.
You keep all the money from that point forward. That's it. You just pay me upfront.
Easy peasy. The other one is I do it for free. But I take 50 percent of all.
New net revenue. Because I'm taking on no limits no limits. Or make you sleep better at night.
How about for the first year? Does that make you feel better? You're a wise business man.
I can see that you're doing the calculations in your eyes right now and you're doing the calculations if this works you're going to bring in this much money and you're gonna pay this punk kid this amount of money so you probably think is a better and more prudent decision just to pay me the 4000 It's your choice. I'm really like an our back and forth here and you seem really confident these bangers that you're creating. And I feel like you're gonna give me more clients and it's gonna be worth more than 4000.
So I'm going to take the four thousand. Do that then let's do it? Ok.
So I'm going to submit a proposal to you. You sent me two thousand dollars upfront and we'll get goin That sounds good. Done one thing always I had it.
But I try and approach one thing they think. Is for people just starting now? Yeah it's something that you did.
Is that everything's a negotiation? Just because he proposed to you that those 1000 dollars like it isn't mean you have to do everything to there are certain expectations. Maybe they want a one minute video.
You could be hey I could do a 30 second video for a thousand dollars and I just don't get so caught up in the fact that just because that's what they're giving you. They're not meeting you at your price you don't have to meet them at their deliverable. And you know what you propose.
You know I think it's still something very advanced or someone that's starting now. If you are you just kind of getting you know yourself out there don't be afraid to change the scope of the work. To meet you know something what you consider is fair.
Yeah. And that's where I'm going to push this back. Ok.
That's excellent. I love that the pro group is so pro that they're doing the meta commentary on top of the meta commentary We're just looking out for the. For the young for you know those ourselves on the spot for that.
You know mean everything is being explained and I love the grounded conversation. I love the Metta commentary. This is like the you're watching a movie and you're getting the director's commentary while watching the movie as we're making the movie.
That's how crazy this thing is.
